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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?


To: Skeeter Bug who wrote (55119)4/7/1999 11:07:00 PM
From: BGR  Respond to of 132070
 
Skeeter Bug,

In the absense of asset growth, this is simply inflationary (substitute equities for paper currency).

-BGR.



To: Skeeter Bug who wrote (55119)4/8/1999 1:01:00 AM
From: Stefan  Read Replies (1) | Respond to of 132070
 
Hmmm where did the second trader got the +1 from? Did it come from his trading job?<g>

If your theory of "basket of stocks" is to be considered then there is one element missing the cash, so to make your theory work there has to be an ample supply of fresh cash otherwise someone will end up with A-1.

I did not study economics but common sense would tell me that to have money pool expend companies would have to generate additional value which should show up in higher earnings. Hype will work only for a while but reality will have to come sooner or later.

If I sell you security for $A and then you sell for $A+1 to another trader and then he sells for another +$1 will work until someone will ask for a hard cash.

If he does what you think will happen to price of the A stock?